Base Metal Overnight Update

Advisory Bazaar Info Services

Copper – Futures

Overnight, LME copper opened at $11,726/mt, witnessed sharp volatility in early trade, and touched a high of $11,790/mt. Prices later drifted lower, testing a low of $11,667/mt, before recovering marginally to close at $11,727/mt, down 0.16%. Trading volume stood at 14,500 lots, while open interest increased to 345,000 lots.

The most-traded SHFE copper 2602 contract opened at 92,600 yuan/mt, surged to a high of 93,020 yuan/mt, then slipped to 91,960 yuan/mt. Prices rebounded towards the close, settling at 92,870 yuan/mt, up 0.13%. Trading volume reached 91,300 lots, with open interest at 231,000 lots.

Aluminum – Futures

During the night session on December 18, the most-traded SHFE aluminum 2602 contract opened at 21,965 yuan/mt, hit a high of 22,035 yuan/mt, and a low of 21,910 yuan/mt, before closing at 22,030 yuan/mt, up 75 yuan/mt or 0.34%.

Meanwhile, LME aluminum opened at $2,896/mt, reached a high of $2,918/mt, and a low of $2,887.5/mt, finally closing at $2,917/mt, up 0.38%. Trading volume was 16,900 lots, while open interest increased by 4,126 lots to 674,000 lots.

Zinc – Futures

Overnight, LME zinc opened at $3,065/mt and traded with high volatility around the daily average. During European trading hours, profit-taking by bulls pushed prices down to $3,045/mt. Selling pressure later eased, allowing prices to rebound to a high of $3,082/mt, before closing at $3,058/mt, down $13.5/mt or 0.44%. Trading volume declined to 9,734 lots, while open interest fell by 395 lots to 227,000 lots.

The most-traded SHFE zinc 2602 contract opened at 22,985 yuan/mt, dipped to 22,935 yuan/mt, and then moved higher as bulls added positions. Prices peaked at 23,085 yuan/mt and settled at 23,060 yuan/mt, up 25 yuan/mt or 0.11%. Trading volume stood at 43,757 lots, with open interest rising by 959 lots to 84,684 lots.

Lead – Futures

Overnight, LME lead opened at $1,957/mt and hovered near the daily moving average during the Asian session. Prices slipped briefly in European trade to $1,951.5/mt, then rebounded to $1,965.5/mt before easing slightly to close at $1,960/mt, down $1/mt or 0.05%, forming a small bullish candlestick.

On SHFE, the 2601 contract recorded a trading volume of 8,660 lots with open interest at 21,851 lots, while the 2602 contract saw a trading volume of 19,315 lots and open interest of 59,494 lots. The most-traded contract officially rolled over to SHFE lead 2602.

The SHFE lead 2602 contract opened at 16,800 yuan/mt. Supported by early long additions, prices fluctuated between 16,700–16,810 yuan/mt, hit a low of 16,705 yuan/mt, rebounded to 16,815 yuan/mt, and finally settled at 16,795 yuan/mt, down 15 yuan/mt or 0.09%, forming a small bearish candlestick.

Tin – Futures

The most-traded SHFE tin contract (SN2601) opened higher during the night session and extended gains, breaking above 340,000 yuan/mt. Prices later pulled back and settled at 338,950 yuan/mt, up 1.18% from the previous close.

Magnesium Ingot

Today, mainstream transaction prices for magnesium ingots in the Fugu region stood at 15,550–15,600 yuan/mt, up 50 yuan/mt from the previous working day.

The China FOB price was quoted at $2,200–2,260/mt.